Plains All American Pipeline LP (PAA) Options

Please read a post before replying. The post said "Bankruptcies in their client base"

bankruptcy A, they did 5.96 billion in revenue last year

slim jim we rolling

heads up

20k shares 9.11

BRIEF-Plains All American Pipeline And Plains Gp Holdings Report Third-Quarter 2020 Results
4:24 PM ET, 11/02/2020 - Reuters

Nov 2 (Reuters) - Plains All American Pipeline LP:

* PLAINS ALL AMERICAN PIPELINE AND PLAINS GP HOLDINGS REPORT THIRD-QUARTER 2020 RESULTS

* PLAINS ALL AMERICAN PIPELINE LP QTRLY PLAINS ALL AMERICAN PIPELINE NET INCOME PER COMMON UNIT $0.13

* PLAINS ALL AMERICAN PIPELINE LP - QTRLY PLAINS ALL AMERICAN PIPELINE ADJUSTED NET INCOME PER COMMON UNIT $0.46

* PLAINS ALL AMERICAN PIPELINE LP - SEES 2020 PLAINS ALL AMERICAN PIPELINE AVERAGE DAILY VOLUMES FOR TRANSPORTATION OF ABOUT 6,380

* PLAINS ALL AMERICAN PIPELINE LP QTRLY PLAINS ALL AMERICAN PIPELINE, L.P. AND SUBSIDIARIES REVENUE $5,833 MILLION VERSUS $7,886 MILLION

* PLAINS ALL AMERICAN PIPELINE LP SAYS INCREASED FULL-YEAR 2020 ADJUSTED EBITDA GUIDANCE TO +/- $2.585 BILLION

* PLAINS ALL AMERICAN PIPELINE LP - PROVIDED PRELIMINARY ESTIMATE FOR 2021 ADJUSTED EBITDA OF +/- $2.2 BILLION Source text for Eikon: Further company coverage:

Plains All American Pipeline and Plains GP Holdings Q3 Results Beat Projections, Launches $500 Million Buyback Program
6:14 AM ET, 11/03/2020 - MT Newswires

06:14 AM EST, 11/03/2020 (MT Newswires) -- Plains All American Pipeline, L.P (PAA) and Plains GP Holdings (PAGP) said Monday that it booked Q3 adjusted EPS of $0.46 compared with $0.52 in the previous year period.

Analysts surveyed by Capital IQ were expecting adjusted EPS of $0.32.

Revenue amounted to $5.83 billion, which is down from $7.89 billion a year ago. Wall Street was looking for revenue of $5.64 billion.

Both companies expect a 3% increase to the 2020 adjusted EBITDA guidance to $2.59 billion. For the 2021 year, adjusted EBITDA of $2.2 billion is expected as well as free cash flow after distributions of approximately $300 million, or $900 million or more when including the benefit of proceeds from additional asset sales anticipated next year.

The company also announced that the board has approved a $500 million common equity repurchase program.

Price: 6.50, Change: +0.25, Percent Change: +4.00

--Analyst Actions: TD Securities Adjusts Plains All American Pipeline's Price Target to $13 From $17, Keeps at Buy
9:56 AM ET, 11/03/2020 - MT Newswires

09:56 AM EST, 11/03/2020 (MT Newswires) -- (MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)

Price: 6.76, Change: +0.26, Percent Change: +4.00

That is a misconception that many investors have. That is true for reits, but::::: But unlike a REIT, which is required to distribute 90% of its income to shareholders, an MLP only has to distribute the amount set forth in the partnership agreement – but that amount can increase. https://www.wyattresearch.com/energy/mlps/

The big risk to the pipeline companies in this environment is Bankruptcies in their client base causing evaporation or restructuring of their fees. Also the distributions are not all return of capital and even the return of capital is not always free from taxes. The return of Capital reduces ones cost basis. Upon the sale of the shares this increases the profits and unless one is in a very low taxable income situation this can raise both their tax bracket and taxes owed. I do like the MLPs and do think the risk reward is excellent, but some folks do not.

Being an MLP they are required to pay out a high percentage of earnings as distributions which are instead of dividends and they can not suspend as long as they made earnings.

When the stock's price was at the high's insiders started selling

5/28/2019
Emg Investment, Llc Insider Sell 8,179,284 $23.10 $188,941,460.40
8/14/2019
Chris Herbold VP Sell 23,337 $21.38 $498,945.06

As the price cratered, but then started slowing down, insiders started buying, and none were selling anymore
2/26/2020
Harry N Pefanis Insider Buy 30,000 $14.16 $424,800.00
3/12/2020
Harry N Pefanis Insider Buy 20,000 $6.96 $139,200.00
3/13/2020
Jeremy L Goebel EVP Buy 3,000 $6.66 $19,980.00
3/16/2020
Willie Cw Chiang CEO Buy 45,400 $5.45 $247,430.00

Doesn't seem like they are expecting a dividend cut

On the NY Mercantile today, the price of the oil contract went up over $4
Crude Oil May 20 cotract
NY Mercantile - Currency in USD

$24.93 + $4.62 (+22.75%)

11 March:
Bank of America downgraded Plains All American Pipeline (NYSE:PAA) from a "buy" to a "neutral" because of falling oil prices and lowered their price target from $23 to $10, but did not indicate a possible dividend cut.

16 Mar:
Plains All American Pipeline (NYSE:PAA) was downgraded by equities researchers at Morgan Stanley from an “equal weight” rating to an “underweight” rating in a report released on Monday, The Fly reports. They currently have a $5.00 target price on the pipeline company’s stock.

Plains All American Pipeline, L.P. (PAA) closed up today
NYSE - Currency in USD
$5.20 + $0.10 + (1.96%)

And has been climbing in after hours trading
$5.29 + $0.09 + (1.73%)
After hours: 4:32PM EDT

Plains American has the largest storing Capacity at the largest storing hub in the USA ...Cushing OK where they own 25% of the storage. They get paid to store oil. It was 20 cent barrel now 50 cents. $360 mil extra earnings straight to the bottom line. The other contango play is owners of super tankers the day rate just went from $90,000 a day to $180,000 striking it rich in the oil glut. PAA gets paid to move oil so volume of oil moving is what matters to their business not price of oil. This is one baby that was just thrown out with the bath water. Those pipelines will be paying profits for decades. The fat distributions are a return of capital so not taxed. The only better investment than pipelines are timberland because the trees always grow no matter what and like oil always need timber. They are also tax havens.
Your welcome!

Its going to go back up.. just a matter of when

So what do you think is going to happen to the PAA stock price as the crude prices decline and the pipelines start storing oil that no one wants now?

News: $PAA 3 Top Oil Stocks to Buy Right Now

Crude oil has been scorching hot this year, rallying more than 30% through mid-December. Fueling that big gain has been the efforts of producers such as  OPEC to keep a lid on supply and support pricing . Usually, higher oil prices drive up  energy stocks . However, that ha...

Got this from PAA - 3 Top Oil Stocks to Buy Right Now

News: $PAA These 3 Value Stocks Are Absurdly Cheap Right Now

During the shopping season, everyone's on the hunt for a bargain. Value investors should keep an eye out, too, for companies that are trading at serious discounts. But just like in shopping, it pays to be wary of what's on the clearance rack: it could be damaged, outdated, or just...not worth bu...

Got this from PAA - These 3 Value Stocks Are Absurdly Cheap Right Now

News: $PAA After a Gusher of Growth, 2020 Is Going to Be a Tough Year for Pipeline Stocks

Pipeline companies have been cashing in on the oil production boom in the Permian Basin . Those that had excess capacity on their systems have been able to take advantage of the region's infrastructure issues to make a mint moving oil out of the area. However, those good times appear to be w...

In case you are interested PAA - After a Gusher of Growth, 2020 Is Going to Be a Tough Year for Pipeline Stocks

$PAA U.S. WTI crude oil surpasses $65/bbl for the first time since December 2014 before pulling back slightly, after data showed the 10th straight weekly drop in U.S. crude stockpiles.

WTI reached a high of $65.42/bbl, with its discount to Brent narrowing to $5/bbl vs. ~$6.50 at the beginning of the year; Brent also hits a new three-year high, climbing to $70.43/bbl.

The 1.07M-barrel U.S. drawdown was led by a 3.15M-barrel drop at the Cushing, Okla., storage hub, with traders citing a ramp-up in volumes on Plains All American's (PAA +0.4%) 200K bbl/day Diamond pipeline from Cushing to Memphis, Tenn.

Cushing stocks have fallen by more than 12M barrels over the past four weeks to 39.24M barrels and are now 40% lower than a year ago.

$PAA Plains All American Pipeline (NYSE:PAA) says it received sufficient binding commitments on its initial open season and will proceed with construction of the Cactus II pipeline system connecting the Permian Basin to Corpus Christi, Tex.

The Cactus II system would add two pipelines to PAA's existing Cactus network, expanding crude capacity to as much as 585K bbl/day from 390K bbl/day currently; PAA hopes to complete the project by Q3 2019.

PAA says it also received sufficient customer interest to conduct a second binding open season related to Cactus II.

Plains All American (PAA) looks well positioned to continue growing its earnings and distributable cash flows in the future. The company has already started to turn around, as evident from its latest quarterly results. However, I believe Plains All American stock is not a buy yet, even though the MLP’s units are hovering near 52-week lows of $18.38.

$PAA Analysts bullish as Plains All American cuts distributions, debt

Plains All American Pipeline (PAA +1.4%) is higher after analysts issue mostly positive reviews of the company's late Friday move to cut its annual distribution to investors to $1.20/unit from $2.20; general partner Plains GP Holdings (PAGP +0.7%) also is slightly higher.

The cut will send PAA's yield to 6% from 10% but it apparently was priced in, and analysts think the distribution can grow in 2019 if the company executes on its debt reduction plans.

Raymond James upgrades PAA to Strong Buy from Buy with a $24 price target, seeing "the newly reduced distribution and faster deleveraging as providing a strong base for both the company to operate from and from which investor expectations can set a reasonable floor."

BMO Capital hikes its rating to Outperform with a $25 target, "dependent on management execution of its fee-based strategy with no need for meaningful Supply & Logistics rebound."

Plains All American announces open season for Permian Basin Pipeline

Plains All American (NYSE:PAA) announces an open season for committed crude oil pipeline capacity from the Permian Basin to the Cushing, Okla., storage hub.

The open season has the potential to add as many as 350K bbl/day of Permian Basin Pipeline takeaway capacity.

Subject to sufficient commitments from shippers and receipt of any necessary permits and regulatory approvals, PAA says the pipeline could be operational in mid-2019.

Plains All American Pipeline (NYSE:PAA) -1.5% AH, following a 13.2% plunge in today's regular session, as it fell short of expectations for both Q4 earnings and revenues.

PAA reports Q4 adjusted EBITDA of $563M, down 5% Y/Y, while FY 2015 adjusted EBITDA was $2.17B; in November, the company had forecast a range with a midpoint of $595M in Q4 EBITDA and $2.2B in full-year EBITDA.

Wow this is just like another stock I own today - ouch - not in this one but the new lows on oil are having a much bigger effect than I would have thought on a pipeline company.

Plains All American Pipeline (PAA +0.2%), responsible for an oil spill that blackened California beaches, kept shoddy records on emergency training and how it would protect pristine coastline in the event of a break, federal regulators said Friday.

Among its findings, the Pipeline and Hazardous Materials Safety Administration said PAA failed to properly document pressure tests on tanks and failed to keep adequate records on how it would prevent spills in sensitive environmental areas, or respond if one did occur.

The cause of the California pipeline break is still under investigation, and prosecutors are considering possible charges.

I'm sure there is a rich family history to that story. Would enjoy to hear it sometime. The advantage I'm sure the family would agree is that downcycle are the best times to buy. The ol' buy when theirs blood in the streets or something. Midstream in many cases is getting hammered to although the their volumes are staying high or growing so the value proposition is strong.

Only safe place to bet as far as I'm concerned. My wife's
family is in the oil business since 1923 and they say damned
if they know where the price of oil is going. The price to
move it can at least be guessed. And insurance can be
purchased for some protection, and you can be sure PAA
will have it.

Certainly has created attractive price points. These issues have to be better handled and I'm sure heads have rolled but the pipeline business is going to be strong as ever next few years.

Yes, I know. Funny thing about that is that the pps remained
unchanged. I sold out when the news of the spill hit the TV
news and watched the pps climb $2 a share and stay there
for a couple days while the PR's were pumped out daily by
the PAA investor relations office. Various analysts pointed
out that the shut down pipeline contributed only a tiny
fraction of the PAA bottom line, and even considering the
cleanup cost and a hefty fine from CA (disregarding completely
any responsibility the state had to permit and inspect, by the
way) that could be expected, the company was in good shape.
So I doubled the position I originally held, as I loved the
dividend. I admit I bought back too soon, as now I am down
a few bucks. If it goes down more, I will add more. Word is
that this spill really didn't do much damage. Nasty secret
in CA is that oil bubbles to the surface sometimes when the
constantly moving earth plates grind and open up seams
in the ocean floor. The Hollywood faux environmentalists
can't seem to stop it no matter how many carbons they put
in the air from their private jets as they travel to protest.
Go PAA.

Plains All American Pipeline (PAA -1.1%) is facing increased scrutiny from U.S. regulators and lawmakers over the recent oil spill off the coast near Santa Barbara, Calif., which released up to 101K gallons and washed up goo on beaches as far as 100 miles away.

Safety first. There is no excuse but boy can CA make a mountain out of a mole hill at times.

CA officials once again prove insensitive over caution is the
way to proceed out of state budgetary woes. Or similar title.

http://seekingalpha.com/news/2596635-exxon-suspends-drilling-from-three-platforms-off-santa-barbara?app=1&uprof=46#email_link

Plains All American Pipeline (NYSE:PAA) braces for intensified scrutiny over the "insufficient" response to the recent oil spill off the California coast, as U.S. Sens. Boxer and Feinstein question why the ruptured pipeline lacked an automatic shut-off valve and whether some workers were left on the sidelines while the leak spread.

Agreed on all points friend. It's going to happen regardless but it's important to embrace safe practices and technology to prevent and react. Keystone won't happen with this administration at all I'm sure you could agree but it needs to happen soon as do the acceleration of crude exporting and pipelines to Mexico.

wow that does not help the Keystone line on getting approved but we have more spills with rail cars than anything. Being on the coast and in the water makes it a very serious spill.

going to be a heck f a clean up as I am sure the amount spilled is much larger than initial reporting

Not looking good for PAA, gapping down in the a.m. IMO.

Oil from a ruptured pipeline near Santa Barbara, Calif., leaked into the Pacific Ocean earlier today, spreading into a four-mile-long slick and fouling an area beach.

The cause and exact amount of the spill are unknown, but it could reach more than 500 barrels (~21K gallons), according to the Governor’s Office of Emergency Services.

The pipeline, owned by Plains All American Pipeline (NYSE:PAA), has been shut off.

Plains All American Pipeline, L.P. and Plains GP Holdings Increase Distributions







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Alert



Plains All American Pipeline (NYSE:PAA)
Intraday Stock Chart

Today : Thursday 8 January 2015
Click Here for more Plains All American Pipeline Charts.

Plains All American Pipeline, L.P. (NYSE:PAA) and Plains GP Holdings (NYSE:PAGP) today announced their quarterly cash distributions with respect to the fourth quarter of 2014. The distributions will be payable on February 13, 2015 to holders of record of each security at the close of business on January 30, 2015.

PAA increased its quarterly cash distribution to $0.675 per limited partner unit ($2.70 per unit on an annualized basis), which represents an increase of 9.8% over the quarterly distribution of $0.615 per unit ($2.46 per unit on an annualized basis) paid in February 2014 and an increase of 2.3% over the quarterly distribution of $0.66 per unit ($2.64 per unit on an annualized basis) paid in November 2014. Once the February distribution is paid, PAA will have increased its quarterly distribution to limited partners in 41 out of the past 43 quarters and consecutively in each of the past 22 quarters.

PAGP increased its quarterly cash distribution to $0.203 per Class A share ($0.812 per Class A share on an annualized basis) on all of its outstanding Class A shares. This distribution represents an increase of 27% over the non-prorated quarterly distribution of $0.15979 per Class A share ($0.63914 per Class A share on an annualized basis) for February 2014 and an increase of 6.4% over the quarterly distribution of $0.19075 per Class A share ($0.763 per Class A share on an annualized basis) paid in November 2014.

Plains All American Pipeline, L.P. is a publicly traded master limited partnership that owns and operates midstream energy infrastructure and provides logistics services for crude oil, natural gas liquids ("NGL"), natural gas and refined products. PAA owns an extensive network of pipeline transportation, terminalling, storage and gathering assets in key crude oil and NGL producing basins and transportation corridors and at major market hubs in the United States and Canada. On average, PAA handles over 3.9 million barrels per day of crude oil and NGL on its pipelines. PAA is headquartered in Houston, Texas.

Plains GP Holdings is a publicly traded entity that owns an interest in the general partner and incentive distribution rights of Plains All American Pipeline, L.P., one of the largest energy infrastructure and logistics companies in North America. PAGP is headquartered in Houston, Texas.

9% increase on payout over FEB 2014 oil Prices not hurting a thing here -

Seeking Alpha writer likes PAA. I have held for three years
and wish I had bought more of it at the time because it is
just about as safe as one can get and still appreciate.
http://seekingalpha.com/article/2418205-plains-all-american-a-top-tier-pipeline-that-can-be-picked-up-here?app=1&uprof=46

Plains All American (PAA) is engaged in the transportation, storage, terminalling and marketing of crude oil, refined products and NGL.

The company operates 18,000 miles of pipelines and gathering systems transporting active crude oil, NGL and refined products, has 20 million barrels of storage capacity, 70 trucks and 424 trailers, 83 transport and storage barges and 46 transport tugs through its interest in Settoon Towing.

The company currently has 93 billion cubic feet of natural gas storage capacity, fractionation facility (260,000 bbl/day), natural gas processing (8 Bcf), and 4,200 railcars.

The company has made acquisitions of US$9.3 billion worth since 2001-2012 with the primary focus to establish/expand footprint in existing or new core areas.

The company also has plans to invest US$4.1 billion in areas of recent and anticipated crude oil production growth including Canada and United States (Bakken, Rockies, Southern Texas/Eagle Ford, and Permian Basin).

The company intends to further enhance its flexibility by continuing to expand its rail assets and related staff to accommodate the growth.

The company just announced it is raising its distribution payout by just under ten percent (9.8%) Y/Y and is upping the midpoint of its guidance for EBITDA in 2013 by 5%.

The company has beat earnings estimates five of the last six quarters and consensus earnings estimates have gone up nicely over the past two months.

After the latest distribution increase, PAA yields more than 5% and has more than doubled its payouts over the last decade by frequent and consistent distribution raises.

The company recently bought $125mm of storage assets from Chesapeake Energy (CHK). It also spent $500mm recently to buy crude oil rail terminals which I think is good strategic move given oil moved by rail improved better than 40% in 2012 as pipelines have failed to keep up with the huge increase in domestic oil production. Analysts expect six percent sales growth after almost 15% sales increases in FY2012.

PAA Open Gaps 49.15 & 45.33
Direction Date range
up Jan-10-2013 49.15 to 49.32
up Jan-02-2013 45.33 to 45.95

Read more at http://www.stockta.com/cgi-bin/analysis.pl?symb=PAA&cobrand=&mode=stock#6Vrml1ds8bgKxLAB.99

Plains All American Pipeline Increases Limited Partner Distribution; Raises 2013 Distribution Growth Target and Comments on 2013 Financial Guidance


HOUSTON--(BUSINESS WIRE)--

Plains All American Pipeline, L.P. (NYSE: PAA) today announced a quarterly cash distribution of $0.5625 per unit ($2.25 per unit on an annualized basis) on all of its outstanding limited partner units. The distribution will be payable on February 14, 2013, to holders of record of such units at the close of business on February 1, 2013. As of this distribution, PAA will have increased its quarterly distribution to limited partners in 33 out of the past 35 quarters and consecutively in each of the past 14 quarters.

“We are pleased to announce a distribution increase of 9.8% over the distribution paid in February 2012 and 3.7% over the distribution paid in November 2012,” said Greg L. Armstrong, Chairman and CEO. “As a result of continued strong financial results, extended visibility for organic growth, recent acquisitions and very solid distribution coverage we are increasing the range of our targeted distribution growth for 2013 to 9% to 10%. This compares to the preliminary 2013 target range of 7% to 8% discussed during our third quarter earnings conference call in November 2012.”

Concurrent with its fourth-quarter and full-year 2012 earnings announcement in early February, the Partnership expects to increase the midpoint of its 2013 guidance for adjusted earnings before interest, taxes, depreciation and amortization (“adjusted EBITDA”) by approximately 5% over the $1.925 billion preliminary adjusted EBITDA midpoint guidance provided in early November 2012. Based on the midpoint measures of targeted distribution growth and adjusted EBITDA guidance, management expects distribution coverage for 2013 to be approximately 120%.

12/13 regarding Crude Rail Terminals

Plains All American Pipeline Completes Acquisition of Crude Rail Terminals from U.S. Development Group


Dividend Yield: 7.3% HOUSTON--(BUSINESS WIRE)-- Plains All American Pipeline, L.P. (NYSE:PAA) today announced that it has closed the previously announced $500 million acquisition of four operating crude rail terminals, one terminal under development and various contractual arrangements from U.S. Development Group.

PAA has posted a presentation that contains additional information regarding the company’s network of crude oil and NGL rail assets on the Partnership Presentations tab of the Investor Relations section of its website: http://ir.paalp.com/Presentations.

Plains All American Pipeline, L.P. is a publicly traded master limited partnership engaged in the transportation, storage, terminalling and marketing of crude oil and refined products, as well as in the processing, transportation, fractionation, storage and marketing of natural gas liquids. Through its general partner interest and majority equity ownership position in PAA Natural Gas Storage, L.P. (NYSE: PNG), PAA owns and operates natural gas storage facilities. PAA is headquartered in Houston, Texas.


Plains All American Pipeline, L.P.Investors:Roy I. Lamoreaux, 713/646-4222 – 800/564-3036Director, Investor RelationsorMedia:Brad Leone, 713/646-4196Manager, Communications


Source: Plains All American Pipeline, L.P.

Dividend history

http://www.dividendinvestor.com/historical.php?no=27986

Support/Resistance


Type Value Conf.
resist. 47.50 1
resist. 46.89 2
resist. 46.58 2
resist. 46.34 2
resist. 46.13 2
supp 45.36 11
supp 44.79 6
supp 44.05 9
supp 43.43 2
supp 42.63 6

Read more at http://www.stockta.com/cgi-bin/analysis.pl?symb=paa&num1=1&cobrand=&mode=stock#Q5kgdVjCTpf785la.99

12/13 More: Plains All American buys oil assets for $125M

Plain All American buys Chesapeake crude oil and condensate gathering assets for about $125M
Associated Press – Thu, Dec 13, 2012 11:55 AM EST.. .

http://finance.yahoo.com/news/plains-american-buys-oil-assets-165559335.html

HOUSTON (AP) -- Plains All American Pipeline LP said Thursday that it bought some crude oil and condensate gathering assets located in the Eagle Ford oil and gas formation in South Texas from Chesapeake Energy Corp. for about $125 million.

The Houston-based pipeline operator said the assets include about 40 miles of crude oil and condensate gathering pipelines with a throughput capacity of about 50,000 barrels per day, 150,000 barrels of existing crude oil and condensate storage capacity, 300,000 barrels of storage capacity under construction and a truck unloading terminal.

Plains said they will connect with its existing crude oil and condensate gathering systems.

The company also said Thursday that it closed on its $500 million acquisition of four rail terminals used to store and transfer crude oil.

The terminals were bought from U.S. Development Group, a privately held company that owns crude oil, petrochemical and ethanol terminal and storage centers across the U.S. and Canada. The deal also includes one terminal under development and various contractual arrangements, Plains said.

Plains owns a network of about 18,000 miles of liquids pipelines across the country. By owning the terminals, the company will also have more control over the oil it moves and will avoid storage costs at rented terminals.

In midday trading, Plains shares fell 61 cents to $44.56, while Chesapeake shares fell 21 cents to $16.75.

12/13 Pipeline company buys Chesapeake assets in $125 million deal

Wichita Business Journal by Daniel McCoy, Reporter
Date: Thursday, December 13, 2012, 2:02pm CST

http://www.bizjournals.com/wichita/news/2012/12/13/pipeline-company-buys-chesapeake.html?ana=yfcpc